US Based Firm Marks Down Swiggy’s Evaluation by another 10%
Ten News Network
New Delhi (India), 27th May 2023: Swiggy’s valuation has been decreased by 10% to $6.38 billion as of March 31, 2023 by the US-based asset management firm Baron Capital Group.
Swiggy’s valuation has been reduced by 10% by US-based asset management firm Baron Capital, essentially valuing the company at $6.5 billion as of March 31, 2023. According to the investor’s filings with the Securities and Exchange Commission (SEC), the fair value of its holding in the company is estimated to be at $45.76 million.
This comes only weeks after it was revealed that Baron Capital has reduced the Bengaluru-based company’s valuation by 34% to $7.3 billion as of December 2022.
Swiggy raised $700 million in a financing round led by Baron Capital in January of last year. Invesco, a US-based investment firm, led the fundraise, which included participation from Baron Capital, Sumeru Venture, and IIFL, among others.
Aside from Baron, Swiggy’s valuation has been reduced to around $5.5 billion in recent filings by US-based Invesco. Despite the price cut, Swiggy stated on May 18 that company had become profitable.
Sriharsha Majety, the company’s co-founder and CEO, announced the announcement in a blog post on Thursday, he said, “This is a milestone for food delivery globally, not just for us, as Swiggy has become one of the very few global food delivery platforms to achieve profitability in less than 9 years since its inception.”
He further wrote, “This is a milestone for food delivery globally, not just for us, as Swiggy has become one of the very few global food delivery platforms to achieve profitability in less than 9 years since its inception.”
Majety stated that the company’s goal for the future is to enter deeper into Tier II and III markets, continue to explore unexplored areas and categories, and continue to take measures to fuel the expansion of the food delivery industry.